"A" gives authority to "B" to sell 'A's land and to pay himself out of the proceeds. The debts due to him from A. In the absence of an express contract-
Verified Answer
A. "A" can revoke this authority
B. Authority cab be terminated by the insanity of "A"
C. Authority can be terminated by the death of "A"
D. "A" cannot revoke this authority nor can it be terminated by his death or insanity
Explanation:
Section 202 of the Indian Contract Act, 1872, deals with 'agency coupled with interest'. If the agent has an interest in the subject-matter of the agency, the authority cannot be terminated by the principal's death, insanity, or revocation to the prejudice of such interest.